Archive for May, 2009

Thursday, May 21st, 2009

“If I am in total control, I know I am going too slow!” Mario Andretti, Formula 1 racecar driver.

How big is the mobile publishing industry?

Thursday, May 7th, 2009

There are two revenue streams for mobile publishers: advertising and download fees (Lets ignore ringtone subscription schemes and SMS for this discussion). Interpublic’s Magna unit predicts that U.S. advertisers will spend $229 million on mobile media this year; which seems like a realistic number. If mobile ad networks take 40% of this revenue, mobile publishers are left with $137 million.

As far as download fees go, the only real option at this point is the iTunes store. Apple projects $300 million in revenue this year from the store. Since Apple takes a 30% cut of all revenues, mobile publishers should make around $700 million in 2009.

Carrier decks, other handset stores, and download portals (getjar, handango etc.) might add another $100 million to the mix.

That brings the total mobile publishing industry pie to $937 million for 2009.